Obama to order $100 million in cuts
By: Mike Allen
April 20, 2009 05:29 AM EST

At the first Cabinet meeting of his presidency, President Barack Obama on Monday will challenge departments to collectively cut $100 million over the next three months, a senior administration official said.

The official said the exercise is “part of his commitment to go line by line through the budget to cut spending and reform government.”

“Agencies will be required to report back with their savings at the end of 90 days,” the official said.

Examples of savings that agencies have begun to implement already that the president will point to during the 11:30 a.m. meeting:

• The Department of Veterans Affairs has cancelled or delayed 26 conferences, saving nearly $17.8 million. The department will be using less expensive alternatives, like video conferencing.

• The U.S. Department of Agriculture is working to combine 1,500 employees from seven office locations into a single facility in 2011, saving $62 million over a 15-year lease term.

• The Department of Homeland Security estimates that it can save up to $52 million over five years just by purchasing office supplies in bulk.